Recent data reveals that while Australian employers are making progress in narrowing the gender pay gap, many still face significant challenges in achieving parity. The latest report from the Workplace Gender Equality Agency (WGEA) highlights that although over half of employers have taken steps to address the gap, the average gender pay gap in many workplaces remains outside the recommended range.
The WGEA’s second annual publication, based on data from 7,800 individual employers and 1,700 corporate groups, shows that only 20% of Australian companies have managed to reduce their gender pay gap to the target range of -5% to +5%. While 56% of employers have made improvements in the past year, the figures suggest that there is still considerable work to be done.
Despite this, WGEA Chief Executive Mary Wooldridge emphasized that there have been encouraging signs, with more than 1,100 employers falling within the target range for gender pay gap reductions. “Each employer has unique circumstances that impact the size of their gender pay gap,” she explained. “Where the gap exceeds the target range, it often reflects an overrepresentation of one gender in higher-paying roles.”
The data also shows that a large proportion of employers—72%—still pay men more than women on average, particularly in high-paying sectors, where the gender pay gap tends to be more pronounced. However, some companies are leading the charge, with Little Real Estate, Australia’s largest independent real estate agency, reporting a negative gender pay gap of -2%, meaning women, on average, earn more than men at the company.
Rebecca Kerr, Chief Operating Officer at Little Real Estate, attributed this achievement to the company’s commitment to promoting women into leadership roles and offering flexible work arrangements. “We focus on flexibility in the workplace, recognizing that the best work isn’t always done between 9 and 5,” Kerr said. “Supporting women in the workplace means trusting them to manage their workload on their own terms.”
The report also reveals that employers are increasingly using gender pay gap data as a catalyst for broader workplace reform. Wooldridge noted that companies are reassessing gender-based disparities in areas such as paid parental leave, flexible work policies, and part-time or job-share opportunities for managerial roles. These changes aim to create a more equitable environment for both men and women in the workforce.
As WGEA continues to track progress, Wooldridge urges employers who have yet to make significant strides in closing the gap to dig deeper into their data and implement evidence-based solutions. “Now is the time for employers to assess what’s causing gender differences and take meaningful action to address them,” she said.
While the efforts of some employers are commendable, the broader picture indicates that systemic challenges persist, and the pursuit of gender pay equity in Australia remains an ongoing journey.
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